Police were called to a service lane off Grand Parade in Plymouth at about 06:40 BST on Wednesday. Officers found the body of Ali Barzai, 52, partially inside a wheelie bin.
Following an investigation, Mohamed Abotaka, 36, of Grand Parade, was charged with murder and remains in police custody. Detective Inspector Chris Lithgow urged the public not to speculate about the circumstances and said a heightened police presence would remain in the area in the coming days.
The force added that inquiries are ongoing to locate Barzai's next of kin and appealed for anyone with information to contact them.